Food Truck VAT: What Most Owners Don't Know
VAT is often the first source of confusion for food truckers. Between multiple rates, the VAT exemption threshold, simplified regime, and input tax recovery, it's easy to make mistakes — and end up paying too much or too little. This guide gives you clear foundations for 2026.
Applicable VAT Rates for Mobile Catering
In France, on-site service and takeaway are not taxed at the same rate. Here's what you need to know:
| Type of Sale | VAT Rate | |---|---| | Hot takeaway food (hot sandwiches, burgers, tacos…) | 10% | | Alcoholic beverages | 20% | | Bottled water, fruit juices | 5.5% | | Coffee, tea, hot chocolate | 10% | | Table service (if you have a terrace) | 10% |
> Important: if you sell a combo including a hot dish and an alcoholic drink, you must split the two rates on your receipt. A correctly configured SumUp terminal does this automatically.
The VAT Exemption Threshold: The Solution for Low Volumes
If your annual turnover is below €37,500 excl. VAT (2026 threshold for service activities), you may benefit from the VAT exemption threshold. In practice:
- You do not charge VAT to customers
- You do not recover VAT on your purchases (raw materials, equipment, fuel)
- You add "VAT not applicable, art. 293 B of the French Tax Code" to your invoices
2026 Thresholds to Remember
- Exemption threshold: €37,500 excl. VAT/year (maintained up to €41,250)
- Simplified regime threshold: €254,000 excl. VAT/year
- Standard regime: above €254,000 excl. VAT/year
The Simplified VAT Regime
Between €37,500 and €254,000 in turnover, you fall under the simplified regime:
- Two semi-annual advance payments (July and December)
- One annual return (CA12)
- You can opt for the standard real regime if you prefer monthly filings
> FoodTracks tip: by tracking your daily sales in your dashboard, you can estimate your collected VAT in real time and set aside the right amount each week. No more nasty surprises at payment time.
Recovering VAT on Purchases: What You Can Deduct
If you're subject to VAT (simplified or standard regime), you can recover VAT on:
- Food raw materials (note: VAT on basic food products is 5.5%, recoverable)
- Vehicle fuel (50% recoverable for mixed use, 100% if purely professional)
- Kitchen equipment: griddle, fryer, refrigerator, payment terminal
- Management software (e.g., FoodTracks)
- Professional phone, professional internet subscription
- VAT on personal meals
- VAT on passenger vehicles (unless 100% commercial use)
Filing and Payment: Common Mistakes to Avoid
Mistake #1: Forgetting to split rates
A food truck selling burgers (10%) and beers (20%) must declare two separate amounts. Declaring everything at 10% means under-declaration. Declaring everything at 20% means overpaying.
Mistake #2: Confusing excl. VAT and incl. VAT turnover
The exemption threshold (€37,500) applies to turnover excl. VAT. If you collect €41,000 incl. VAT at 10%, your excl. VAT turnover is approximately €37,273 — you remain within the exemption. But if you miscalculate, you risk unknowingly exceeding the threshold.
Mistake #3: Not setting aside a VAT provision
Collected VAT is not your money. Set it aside every week. A simple rule: with each payment received, transfer around 9% of the incl. VAT amount to a dedicated account (roughly equivalent for a 10% VAT rate).
VAT and Mobile Food Trucks: Special Case
If you operate across multiple towns or regions, VAT remains national (no regional variation in France). However, if you sell to professional clients in the EU (B2B catering), specific rules apply. Consult your accountant in that case.
What Good Management Software Does for You
A tool like FoodTracks connected to your SumUp terminal lets you:
- View your excl. VAT turnover and collected VAT by rate in real time
- Export data directly in accounting format for your accountant or filing
- Anticipate your VAT deadlines without manual calculation
- Track your progress towards exemption and simplified regime thresholds
Frequently Asked Questions
- What VAT rate applies to food trucks in France?
- Food trucks are subject to several rates depending on what they sell: 10% for hot food and hot drinks, 20% for alcoholic beverages, 5.5% for bottled water and fruit juices. These rates must be split on each sale.
- Can a food truck benefit from the VAT exemption threshold?
- Yes, if its annual excl. VAT turnover is below €37,500 (2026 threshold). In that case, it does not charge VAT to customers and cannot recover it on purchases either. It must mention 'VAT not applicable, art. 293 B of the French Tax Code' on commercial documents.
- How to avoid VAT mistakes with a food truck?
- The three most common mistakes are: not splitting rates (particularly 10% and 20%), confusing excl. VAT and incl. VAT turnover for thresholds, and not setting aside collected VAT. Connected point-of-sale software like FoodTracks + SumUp automatically calculates the split and helps you anticipate deadlines.
- Can you recover VAT on food truck fuel?
- Yes, partially. If the vehicle is used for both professional and personal purposes, fuel VAT is recoverable at 50%. If the vehicle is exclusively professional (dedicated commercial vehicle), VAT is fully recoverable at 100%. Always keep your named fuel receipts.
